- Day Trader
- $0 or even less
- Published August 23, 2020 by Niall Doherty
How does Donnie make money online?
Donnie doesn’t really exist. He’s our avatar to represent a typical person trying to make money online with day trading.
Investopedia defines day trading like so:
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How much money does Donnie make?
Unfortunately, a typical day trader like Donnie is more likely to lose money than make money.
From the paper:
The key takeaway there is that 97% of all day traders who persisted for more than 300 days lost money.
In fact, the longer they persisted, the more money they seemed to lose, as the following graph shows:
YouTuber Coffeezilla made a video about day trading based on the same research paper plus another:
It’s worth noting that I’ve found no studies or research papers focused on day trading in the United States, but it sounds like the success rate isn’t much different there.
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With that in mind, we strive to ensure the accuracy and transparency of the income claims and estimates that you see on this website.
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How did Donnie get started?
Donnie would have needed to open a brokerage account to day trade stocks.
However, in the USA, you are required to maintain a minimum balance of $25,000 as a day trader. (Though there are some ways around that. More info here.)
Aside from that, NerdWallet has a pretty good guide for starting day trading.
What type of online business does Donnie have?
Other ways to make money online
There are many other ways to make money online, to work from home or anywhere in the world.